Irregular UC and regular pay – A solution that also ends the 5 week wait?

I’ve looked for a practical way, quickly done with existing RTI data, that could smooth irregular UC with regular earnings.  My suggestion could also remove the need for a 5 week wait. Please comment at https://benefitsinthefuture.com/irregular-uc-and-regular-pay-a-solution-that-also-ends-the-5-week-wait/

I think this could be done quickly, with obvious advantages - but I’ve been wrong before.  Comments and thoughts welcome.

Gareth

An excellent piece of work, I think I understood all you have said and demostrated. It seems to make sense and could well work.

The bit I am not too bright with, but it should not prevent your method from working is below..

Someone currently working for company C, a long time after finishing work with company A and B they unexpectedly receive one off earnings payments from A or A and B? Admittedly, this is likely to be rare, but it happened to me many years ago when I received two cheques through the post because a fault in the pay system was discovered long after I had left.

No need to reply as I am sure you have the answer and a lot on at the moment.  Perhaps I just need to read through your model again, if so that is enough of a reply for me.

Mkfiftyeight - 24 March 2020 03:05 PM

Someone currently working for company C, a long time after finishing work with company A and B they unexpectedly receive one off earnings payments from A or A and B? Admittedly, this is likely to be rare, but it happened to me many years ago when I received two cheques through the post because a fault in the pay system was discovered long after I had left.

Presumably it should be associated with the period that you worked for them.  I don’t know how the tax system deals with late payments for previous tax years.  The 2 alternative approaches are:

a) Take it into account now, for the length of time it was paid for.
b) Back assess any entitlements for the original period that it should have been paid for,

UC does neither, it just takes the lot for this AP and might generate a surplus earnings figure as well.

Gareth

Had another look and I think the scenario I described of numerous payments can work. Assuming the number of days are identifiable then it could fit into your table 5 the line towards the end with 52 days.

Agree about the surplus earnings, but I was not paid enough to take me there!

Hi Gareth

Were you going to submit your model as evidence to the DWP Select Committee?

I am sure you know the Committee have an open enquiry about Universal Credit: the wait for the first payment. There is a deadline to submit views by 17 April.

I am not a spybot but did work within DWP policy and other areas before moving to the darkside six years ago!

I think submitting your model would, in my opinion, give the Committee and DWP something to at least think about, e even better the Committe asking DWP about it and make recomendations in their final report.

I don’t know if this link to the Commitee page will work for you

https://committees.parliament.uk/work/135/universal-credit-the-wait-for-a-first-payment/

Up to you, but as i said before I think your model could work and is probalby the best I have seen to overcome the problem.

Best wishes

Thanks, submitted.

I have been following the written and oral evidence and saw you gave your oral evidence on 1/7/20 to the Select Committee. When they pubish their report , wonder if it will recommend a presentation to DWP or that they consider your model.

Hopefully they’ll at least refer to it.  My video on the failings of the UC Assessment Period has had over 700 views at bit.ly/30k79SD . It’s lengthy so I’ve added an index of sections. e.g my proposed alternative is at bit.ly/3e5Edkm and an example of current problems at bit.ly/2Z1gvSf.  I keep seeing more advantages to the idea*.  I should try to do some modelling of the costs of paying in advance (which is implicit in the idea) against the costs of administering advances plus the HB run-on and all the legacy run-ons coming in shortly; I suspect it will be cheaper.

*MRDA - I would, wouldn’t I?

Plus 1 more for the video now!

Best wishes